Transactions for Fixed Assets, Including Sale The following transactions and adjusting entries were completed by Robinson Furniture Co. during a three-year period. All are related to the use of delivery equipment. The double-declining-balance method of depreciation is used. Year 1   Jan. 8 Purchased a used delivery truck for $24,000, paying cash. Mar. 7 Paid garage $900 for changing the oil, replacing the oil filter, and tuning the engine on the delivery truck. Dec. 31 Recorded depreciation on the truck for the fiscal year. The estimated useful life of the truck is four years, with a residual value of $4,000 for the truck. Year 2   Jan. 9 Purchased a new truck for $50,000, paying cash. Feb. 28 Paid garage $250 to tune the engine and make other minor repairs on the used truck. Apr. 30 Sold the used truck for $9,500. (Record depreciation to date in Year 2 for the truck.) Dec. 31 Record depreciation for the new truck. It has an estimated residual value of $12,000 and an estimated life of eight years. Year 3   Sept. 1 Purchased a new truck for $58,500, paying cash. Sept. 4 Sold the truck purchased January 9, Year 2, for $36,000. (Record depreciation to date for Year 3 for the truck.) Dec. 31 Recorded depreciation on the remaining truck. It has an estimated residual value of $16,000 and an estimated useful life of 10 years. Required: Journalize the transactions and the adjusting entries. If an amount box does not require an entry, leave it blank. Do not round intermediate calculations.

Blue Co. purchased equipment on October 4, 20X1 at a cost of $63,000. The equipment has an estimated useful life of 4 years and an estimated salvage value of $3,000. Blue Co. uses the straight-line depreciation method. Blue Co.’s fiscal year-end is December 31. Assuming Blue Co. uses the half-year convention, what was the accumulated depreciation as of December 31, 20X2? (Round all results to the nearest whole dollar.)   a. $30,000   b. $22,500   c. $15,000   d. $7,500

Entries for Sale of Fixed Asset Equipment acquired on January 5 at a cost of $107,600, has an estimated useful life of 12 years, has an estimated residual value of $9,200, and is depreciated by the straight-line method. a. What was the book value of the equipment at December 31 the end of the fourth year? $ b. Assuming that the equipment was sold on April 1 of the fifth year for 67,585. 1. Journalize the entry to record depreciation for the three months until the sale date. Round your answers to the nerest whole dollar if required. 2. Journalize the entry to record the sale of the equipment. If an amount box does not require an entry, leave it blank. Do not round intermediate calculations.

Equipment acquired on January 8 at a cost of $150,800, has an estimated useful life of 15 years, has an estimated residual value of $8,900, and is depreciated by the straight-line method. a.  What was the book value of the equipment at December 31 the end of the fourth year? - Assuming that the equipment was sold on April 1 of the fifth year for 105,335. 1.  Journalize the entry to record depreciation for the three months until the sale date. Round your answers to the nerest whole dollar if required. 2.  Journalize the entry to record the sale of the equipment. If an amount box does not require an entry, leave it blank. Do not round intermediate calculations.

Knife Edge Company purchased tool sharpening equipment on July 1, 20Y5, for $16,200. The equipment was expected to have a useful life of three years and a residual value of $900. Instructions: a.  Determine the amount of depreciation expense for the years ended December 31, 20Y5, 20Y6, 20Y7 and 20Y8 by the straight-line method.   Depreciation Expense 20Y5 $fill in the blank 1 20Y6 $fill in the blank 2 20Y7 $fill in the blank 3 20Y8 $fill in the blank 4 b.  Determine the amount of depreciation expense for the years ended December 31, 20Y5, 20Y6, 20Y7 and 20Y8 by the double-declining-balance method. Round the double-declining-balance depreciation rate to six decimal places and round your final answers to the nearest whole dollar.   Depreciation Expense 20Y5 $fill in the blank 5 20Y6 $fill in the blank 6 20Y7 $fill in the blank 7 20Y8 $fill in the blank 8

Sale of Equipment Equipment was acquired at the beginning of the year at a cost of $587,500. The equipment was depreciated using the straight-line method based on an estimated useful life of 9 years and an estimated residual value of $47,305. a. What was the depreciation for the first year? Round your answer to the nearest cent. b. Using the rounded amount from Part a in your computation, determine the gain or loss on the sale of the equipment, assuming it was sold at the end of year eight for $100,097. Round your answer to the nearest cent. Enter your answer as a positive amount. Feedback c. Journalize the entry to record the sale. If an amount box does not require an entry, leave it blank. Round your answers to the nearest cent.

Willow Creek Company purchased and installed carpet in its new general offices on April 30 for a total cost of $18,000. The carpet is estimated to have a 15-year useful life and no residual value.a. Prepare the journal entry necessary for recording the purchase of the new carpet.b. Record the December 31 adjusting entry for the partial-year depreciation expense for the carpet, assuming that Willow Creek Company uses the straight-line method.

Transactions for fixed assets, including sale depreciation is used. Year 1 January 8. Purchased a used delivery truck for $61, 440, paying cash. March 7. Paid garage $180 for changing the oil, replacing the oil filter, and tuning the engine on the delivery truck. December 31. Recorded depreciation on the truck for the fiscal year. The estimated useful life of the truck is 8 years, with a residual value of $12,900 for the truck. Year 2 January 9. Purchased a new truck for $70, 560, paying cash. February 28. Paid garage $260 to tune the engine and make other minor repairs on the used truck. April 30. Sold the used truck for $40, 440. (Record depreciation to date in Year 2 for the truck.) December 31. Record depreciation for the new truck. It has an estimated residual value of $12,700 and an estimated life of 7 years. Year 3 September 1. Purchased a new truck for $93, 000, paying cash. September 4. Sold the truck purchased January 9, Year 2, for $42,900. (Record depreciation to date for…

Sandhill Company purchases equipment on January 1, Year 1, at a cost of $271,000. The asset is expected to have a service life of 5 years and a salvage value of $20,000. Compute the amount of depreciation for each of Years 1 and 2 using the sum-of-the-years’-digits method. Depreciation for Year 1   $enter a dollar amount  Depreciation for Year 2

New lithographic equipment, acquired at a cost of $656,250 on March 1 of Year 1 (beginning of the fiscal year), has an estimated useful life of five years and an estimated residual value of $56,400. The manager requested information regarding the effect of alternative methods on the amount of depreciation expense each year. On March 4 of Year 5, the equipment was sold for $96,100. Required: 1.  Determine the annual depreciation expense for each of the estimated five years of use, the accumulated depreciation at the end of each year, and the book value of the equipment at the end of each year by the following methods: a.  Straight-line method Year DepreciationExpense Accumulated Depreciation,End of Year Book Value,End of Year 1 $fill in the blank f3adbb01f07801f_1 $fill in the blank f3adbb01f07801f_2 $fill in the blank f3adbb01f07801f_3 2 $fill in the blank f3adbb01f07801f_4 $fill in the blank f3adbb01f07801f_5 $fill in the blank f3adbb01f07801f_6 3 $fill in the blank…